COMPANY NEWS

COMPANY NEWS; REGENCY BOARD ACCEPTS RAINBOW CRUISES' MERGER PLAN

Published: June 12, 1992

Regency Cruises Inc. said its board had accepted in principle the merger proposal made by Rainbow Cruises Inc. in late May. Under the proposal, Rainbow would pay $1.95 for each of Regency's 23.22 million shares outstanding. Rainbow, which currently holds about a one-third stake of Regency, will thus pay about $30 million for the shares it does not already own.

The merger is subject to the execution of a definitive merger agreement, shareholder approval and the redemption of rights issued to shareholders according to a rights agreement dated Sept. 19, 1990, said Regency, which operates cruise ships in Alaska and the Caribbean.